101ST GENERAL ASSEMBLY
State of Illinois
2019 and 2020
HB1575

 

Introduced , by Rep. Ryan Spain

 

SYNOPSIS AS INTRODUCED:
 
30 ILCS 105/5.891 new
35 ILCS 615/3  from Ch. 120, par. 467.18
35 ILCS 640/2-9
220 ILCS 5/13-301.4 new

     Amends the Public Utilities Act. Creates the Rural Illinois Utility Infrastructure Investment Program, under which the Illinois Commerce Commission shall make grants from the Rural Illinois Utility Infrastructure Investment Program Fund for qualified utility infrastructure projects. Amends the Gas Revenue Tax Act and the Electricity Excise Tax Law to provide that certain moneys collected under those Acts shall be deposited into the Fund. Amends the State Finance Act. Creates the Rural Illinois Utility Infrastructure Investment Program Fund as a special fund in the State treasury. Effective July 1, 2019.


LRB101 05073 JRG 50084 b

FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

HB1575LRB101 05073 JRG 50084 b

1    AN ACT concerning regulation.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The State Finance Act is amended by adding
5Section 5.891 as follows:
 
6    (30 ILCS 105/5.891 new)
7    Sec. 5.891. Rural Illinois Utility Infrastructure
8Investment Program Fund.
 
9    Section 10. The Gas Revenue Tax Act is amended by changing
10Section 3 as follows:
 
11    (35 ILCS 615/3)  (from Ch. 120, par. 467.18)
12    Sec. 3. Return of taxpayer; payment of tax. Except as
13provided in this Section, on or before the 15th day of each
14month, each taxpayer shall make a return to the Department for
15the preceding calendar month, stating:
16        1. His name;
17        2. The address of his principal place of business, and
18    the address of the principal place of business (if that is
19    a different address) from which he engages in the business
20    of distributing, supplying, furnishing or selling gas in
21    this State;

 

 

HB1575- 2 -LRB101 05073 JRG 50084 b

1        3. The total number of therms for which payment was
2    received by him from customers during the preceding
3    calendar month and upon the basis of which the tax is
4    imposed;
5        4. Gross receipts which were received by him from
6    customers during the preceding calendar month from such
7    business, including budget plan and other customer-owned
8    amounts applied during such month in payment of charges
9    includible in gross receipts, and upon the basis of which
10    the tax is imposed;
11        5. Amount of tax (computed upon Items 3 and 4);
12        6. Such other reasonable information as the Department
13    may require.
14    In making such return the taxpayer may use any reasonable
15method to derive reportable "therms" and "gross receipts" from
16his billing and payment records.
17    Any taxpayer required to make payments under this Section
18may make the payments by electronic funds transfer. The
19Department shall adopt rules necessary to effectuate a program
20of electronic funds transfer.
21    If the taxpayer's average monthly tax liability to the
22Department does not exceed $100.00, the Department may
23authorize his returns to be filed on a quarter annual basis,
24with the return for January, February and March of a given year
25being due by April 30 of such year; with the return for April,
26May and June of a given year being due by July 31 of such year;

 

 

HB1575- 3 -LRB101 05073 JRG 50084 b

1with the return for July, August and September of a given year
2being due by October 31 of such year, and with the return for
3October, November and December of a given year being due by
4January 31 of the following year.
5    If the taxpayer's average monthly tax liability to the
6Department does not exceed $20.00, the Department may authorize
7his returns to be filed on an annual basis, with the return for
8a given year being due by January 31 of the following year.
9    Such quarter annual and annual returns, as to form and
10substance, shall be subject to the same requirements as monthly
11returns.
12    Notwithstanding any other provision in this Act concerning
13the time within which a taxpayer may file his return, in the
14case of any taxpayer who ceases to engage in a kind of business
15which makes him responsible for filing returns under this Act,
16such taxpayer shall file a final return under this Act with the
17Department not more than one month after discontinuing such
18business.
19    In making such return the taxpayer shall determine the
20value of any reportable consideration other than money received
21by him and shall include such value in his return. Such
22determination shall be subject to review and revision by the
23Department in the same manner as is provided in this Act for
24the correction of returns.
25    Each taxpayer whose average monthly liability to the
26Department under this Act was $10,000 or more during the

 

 

HB1575- 4 -LRB101 05073 JRG 50084 b

1preceding calendar year, excluding the month of highest
2liability and the month of lowest liability in such calendar
3year, and who is not operated by a unit of local government,
4shall make estimated payments to the Department on or before
5the 7th, 15th, 22nd and last day of the month during which tax
6liability to the Department is incurred in an amount not less
7than the lower of either 22.5% of the taxpayer's actual tax
8liability for the month or 25% of the taxpayer's actual tax
9liability for the same calendar month of the preceding year.
10The amount of such quarter monthly payments shall be credited
11against the final tax liability of the taxpayer's return for
12that month. Any outstanding credit, approved by the Department,
13arising from the taxpayer's overpayment of its final tax
14liability for any month may be applied to reduce the amount of
15any subsequent quarter monthly payment or credited against the
16final tax liability of the taxpayer's return for any subsequent
17month. If any quarter monthly payment is not paid at the time
18or in the amount required by this Section, the taxpayer shall
19be liable for penalty and interest on the difference between
20the minimum amount due as a payment and the amount of such
21payment actually and timely paid, except insofar as the
22taxpayer has previously made payments for that month to the
23Department in excess of the minimum payments previously due.
24    If the Director finds that the information required for the
25making of an accurate return cannot reasonably be compiled by a
26taxpayer within 15 days after the close of the calendar month

 

 

HB1575- 5 -LRB101 05073 JRG 50084 b

1for which a return is to be made, he may grant an extension of
2time for the filing of such return for a period of not to
3exceed 31 calendar days. The granting of such an extension may
4be conditioned upon the deposit by the taxpayer with the
5Department of an amount of money not exceeding the amount
6estimated by the Director to be due with the return so
7extended. All such deposits, including any made before the
8effective date of this amendatory Act of 1975 with the
9Department, shall be credited against the taxpayer's
10liabilities under this Act. If any such deposit exceeds the
11taxpayer's present and probable future liabilities under this
12Act, the Department shall issue to the taxpayer a credit
13memorandum, which may be assigned by the taxpayer to a similar
14taxpayer under this Act, in accordance with reasonable rules
15and regulations to be prescribed by the Department.
16    The taxpayer making the return provided for in this Section
17shall, at the time of making such return, pay to the Department
18the amount of tax imposed by this Act. All moneys received by
19the Department under this Act shall be paid into the General
20Revenue Fund in the State Treasury, except as otherwise
21provided. Beginning on the first day of the first calendar
22month to occur on or after the effective date of this
23amendatory Act of the 101st General Assembly, all moneys
24received by the Department under this Act shall be paid into
25the General Revenue Fund, less 1% which shall be paid into the
26Rural Illinois Utility Infrastructure Investment Program Fund.

 

 

HB1575- 6 -LRB101 05073 JRG 50084 b

1    If any payment provided for in this Section exceeds the
2taxpayer's liabilities under this Act, as shown on an original
3return, the Department may authorize the taxpayer to credit
4such excess payment against liability subsequently to be
5remitted to the Department under this Act, in accordance with
6reasonable rules adopted by the Department.
7(Source: P.A. 100-1171, eff. 1-4-19.)
 
8    Section 15. The Electricity Excise Tax Law is amended by
9changing Section 2-9 as follows:
 
10    (35 ILCS 640/2-9)
11    Sec. 2-9. Return and payment of tax by delivering supplier.
12Each delivering supplier who is required or authorized to
13collect the tax imposed by this Law shall make a return to the
14Department on or before the 15th day of each month for the
15preceding calendar month stating the following:
16        (1) The delivering supplier's name.
17        (2) The address of the delivering supplier's principal
18    place of business and the address of the principal place of
19    business (if that is a different address) from which the
20    delivering supplier engaged in the business of delivering
21    electricity in this State.
22        (3) The total number of kilowatt-hours which the
23    supplier delivered to or for purchasers during the
24    preceding calendar month and upon the basis of which the

 

 

HB1575- 7 -LRB101 05073 JRG 50084 b

1    tax is imposed.
2        (4) Amount of tax, computed upon Item (3) at the rates
3    stated in Section 2-4.
4        (5) An adjustment for uncollectible amounts of tax in
5    respect of prior period kilowatt-hour deliveries,
6    determined in accordance with rules and regulations
7    promulgated by the Department.
8        (5.5) The amount of credits to which the taxpayer is
9    entitled on account of purchases made under Section 8-403.1
10    of the Public Utilities Act.
11        (6) Such other information as the Department
12    reasonably may require.
13    In making such return the delivering supplier may use any
14reasonable method to derive reportable "kilowatt-hours" from
15the delivering supplier's records.
16    If the average monthly tax liability to the Department of
17the delivering supplier does not exceed $2,500, the Department
18may authorize the delivering supplier's returns to be filed on
19a quarter-annual basis, with the return for January, February
20and March of a given year being due by April 30 of such year;
21with the return for April, May and June of a given year being
22due by July 31 of such year; with the return for July, August
23and September of a given year being due by October 31 of such
24year; and with the return for October, November and December of
25a given year being due by January 31 of the following year.
26    If the average monthly tax liability to the Department of

 

 

HB1575- 8 -LRB101 05073 JRG 50084 b

1the delivering supplier does not exceed $1,000, the Department
2may authorize the delivering supplier's returns to be filed on
3an annual basis, with the return for a given year being due by
4January 31 of the following year.
5    Such quarter-annual and annual returns, as to form and
6substance, shall be subject to the same requirements as monthly
7returns.
8    Notwithstanding any other provision in this Law concerning
9the time within which a delivering supplier may file a return,
10any such delivering supplier who ceases to engage in a kind of
11business which makes the person responsible for filing returns
12under this Law shall file a final return under this Law with
13the Department not more than one month after discontinuing such
14business.
15    Each delivering supplier whose average monthly liability
16to the Department under this Law was $10,000 or more during the
17preceding calendar year, excluding the month of highest
18liability and the month of lowest liability in such calendar
19year, and who is not operated by a unit of local government,
20shall make estimated payments to the Department on or before
21the 7th, 15th, 22nd and last day of the month during which tax
22liability to the Department is incurred in an amount not less
23than the lower of either 22.5% of such delivering supplier's
24actual tax liability for the month or 25% of such delivering
25supplier's actual tax liability for the same calendar month of
26the preceding year. The amount of such quarter-monthly payments

 

 

HB1575- 9 -LRB101 05073 JRG 50084 b

1shall be credited against the final tax liability of such
2delivering supplier's return for that month. An outstanding
3credit approved by the Department or a credit memorandum issued
4by the Department arising from such delivering supplier's
5overpayment of his or her final tax liability for any month may
6be applied to reduce the amount of any subsequent
7quarter-monthly payment or credited against the final tax
8liability of such delivering supplier's return for any
9subsequent month. If any quarter-monthly payment is not paid at
10the time or in the amount required by this Section, such
11delivering supplier shall be liable for penalty and interest on
12the difference between the minimum amount due as a payment and
13the amount of such payment actually and timely paid, except
14insofar as such delivering supplier has previously made
15payments for that month to the Department in excess of the
16minimum payments previously due.
17    If the Director finds that the information required for the
18making of an accurate return cannot reasonably be compiled by
19such delivering supplier within 15 days after the close of the
20calendar month for which a return is to be made, the Director
21may grant an extension of time for the filing of such return
22for a period not to exceed 31 calendar days. The granting of
23such an extension may be conditioned upon the deposit by such
24delivering supplier with the Department of an amount of money
25not exceeding the amount estimated by the Director to be due
26with the return so extended. All such deposits shall be

 

 

HB1575- 10 -LRB101 05073 JRG 50084 b

1credited against such delivering supplier's liabilities under
2this Law. If the deposit exceeds such delivering supplier's
3present and probable future liabilities under this Law, the
4Department shall issue to such delivering supplier a credit
5memorandum, which may be assigned by such delivering supplier
6to a similar person under this Law, in accordance with
7reasonable rules and regulations to be prescribed by the
8Department.
9    The delivering supplier making the return provided for in
10this Section shall, at the time of making such return, pay to
11the Department the amount of tax imposed by this Law.
12    Until October 1, 2002, a delivering supplier who has an
13average monthly tax liability of $10,000 or more shall make all
14payments required by rules of the Department by electronic
15funds transfer. The term "average monthly tax liability" shall
16be the sum of the delivering supplier's liabilities under this
17Law for the immediately preceding calendar year divided by 12.
18Beginning on October 1, 2002, a taxpayer who has a tax
19liability in the amount set forth in subsection (b) of Section
202505-210 of the Department of Revenue Law shall make all
21payments required by rules of the Department by electronic
22funds transfer. Any delivering supplier not required to make
23payments by electronic funds transfer may make payments by
24electronic funds transfer with the permission of the
25Department. All delivering suppliers required to make payments
26by electronic funds transfer and any delivering suppliers

 

 

HB1575- 11 -LRB101 05073 JRG 50084 b

1authorized to voluntarily make payments by electronic funds
2transfer shall make those payments in the manner authorized by
3the Department.
4    If any payment provided for in this Section exceeds the
5delivering supplier's liabilities under this Act, as shown on
6an original return, the Department may authorize the delivering
7supplier to credit such excess payment against liability
8subsequently to be remitted to the Department under this Act,
9in accordance with reasonable rules adopted by the Department.
10    Through June 30, 2004, each month the Department shall pay
11into the Public Utility Fund in the State treasury an amount
12determined by the Director to be equal to 3.0% of the funds
13received by the Department pursuant to this Section. Through
14June 30, 2004, the remainder of all moneys received by the
15Department under this Section shall be paid into the General
16Revenue Fund in the State treasury. Beginning on July 1, 2004,
17of the 3% of the funds received pursuant to this Section, each
18month the Department shall pay $416,667 into the General
19Revenue Fund and the balance shall be paid into the Public
20Utility Fund in the State treasury. Beginning on the first day
21of the first calendar month to occur on or after the effective
22date of this amendatory Act of the 101st General Assembly, of
23the 3% of the funds received pursuant to this Section, each
24month the Department shall pay $416,667 into the General
25Revenue Fund and the balance shall be paid into the Public
26Utility Fund, less 1% which shall be paid into the Rural

 

 

HB1575- 12 -LRB101 05073 JRG 50084 b

1Illinois Utility Infrastructure Investment Program Fund.
2(Source: P.A. 100-1171, eff. 1-4-19.)
 
3    Section 20. The Public Utilities Act is amended by adding
4Section 13-301.4 as follows:
 
5    (220 ILCS 5/13-301.4 new)
6    Sec. 13-301.4. Rural Illinois Utility Infrastructure
7Investment Program.
8    (a) For purposes of this Section:
9    "Eligible entity" means:
10        (1) a business that: (A) is engaged in interstate or
11    intrastate commerce for the purpose of manufacturing,
12    processing, or assembling products; (B) employs no more
13    than 500 employees; and (C) is located in a county with
14    less than 50,000 inhabitants; or
15        (2) a county with less than 50,000 inhabitants.
16    "Qualifying utility infrastructure project" means the
17construction or installation of gas or electric equipment used
18in connection with the distribution and delivery of gas or
19electricity to an eligible recipient.
20    (b) The Commission shall create the Rural Illinois Utility
21Infrastructure Investment Program, under which the Commission
22shall, subject to appropriation, make grants from moneys in the
23Rural Illinois Utility Infrastructure Investment Program Fund
24to eligible entities for the construction of gas or electric

 

 

HB1575- 13 -LRB101 05073 JRG 50084 b

1infrastructure in eligible areas of the State. The Commission
2shall adopt rules for administration of the Program, which
3shall include that an eligible entity must include in its
4application evidence that the grants will result in the
5creation of new jobs and shall provide for the competitive
6selection of recipients of grant funds available from the Fund
7pursuant to the Illinois Procurement Code. Grants shall be
8awarded to eligible entities chosen on the basis of the
9criteria established in the rules.
10    (c) An eligible entity seeking a grant of funds from the
11Rural Illinois Utility Infrastructure Investment Program shall
12demonstrate to the Commission that the grant shall be used for
13the construction of gas or electric infrastructure in an
14eligible area and demonstrate that it satisfies all other
15requirements of the rules adopted by the Commission. The
16Commission shall determine the information that it deems
17necessary to award grants pursuant to this Section.
18    (d) All eligible entities awarded grant moneys under this
19Section shall maintain all records required by rule for the
20period of time specified in the rules. The records shall be
21subject to audit by the Commission, by an auditor appointed by
22the State, or by a State officer authorized to conduct audits.
23    (e) The Rural Illinois Utility Infrastructure Investment
24Program Fund is created as a special fund in the State
25treasury. All moneys in the Fund shall be used by the
26Commission to fund grants for qualified utility infrastructure

 

 

HB1575- 14 -LRB101 05073 JRG 50084 b

1projects. The Commission may accept private and public funds,
2including federal funds, for deposit into the Fund. Earnings
3attributable to moneys in the Fund shall be deposited into the
4Fund.
 
5    Section 99. Effective date. This Act takes effect July 1,
62019.